A comparative analysis of regulatory sandboxes from selected use cases: Insights from recurring operational practices

This contribution presents a comparative analysis of regulatory sandboxes and experimentation practices across various jurisdictions and sectors, focusing on selection criteria, procedural phases, and reporting obligations. By examining 87 use cases from financial services, digital, energy, and other industries, the analysis identifies key patterns and best practices for the operation of regulatory sandboxes. Primary criteria for participation include the innovative value of the proposed solution, societal benefits, and market and testing readiness. The regulatory sandbox participation process typically involves an application phase, testing and experimentation under controlled conditions with continuous monitoring by authorities, and an exit phase to ensure a smooth transition from experimentation to standard market conditions. The findings offer valuable insights into the design and implementation of regulatory sandboxes, providing a framework for policymakers and regulators to enhance the effectiveness of these initiatives.